Changes to the were supposed to make things easier and more accessible. But the new process has been riddled with issues causing major disruptions for families, students and colleges.
One of the biggest issues with the botched roll-out of the new Free Application for Federal Student Aid is that students don’t know how much aid they are eligible to receive, which could cause them to incorrectly budget out-of-pocket costs or discourage enrollment until the process is fixed.
“It’s just one blunder after another,” said Greg Thornburg, director of financial aid. “It’s a difficult time for the families, for the colleges. It’s a difficult time for the federal government.”
Higher education institutes across Louisiana are urging students to apply for FAFSA as soon as they can and to tap into available resources to better understand how to navigate the potholes the change has created.
Why are there issues with FAFSA?
Legislation to change FAFSA was approved in December 2020. The legislation reduced the number of questions on the form from 100 questions to about 40.
It that determines students’ aid eligibility. It also expanded eligibility for the Pell Grant, which is a federal award that does not have to be repaid and is normally given to students who have exceptional financial need.
But advocates and higher education groups began to worry about the pace of the overhaul in October 2022, a year before the department’s deadline, as the U.S. Department of Education remained tight-lipped about the work being done to update the form and system, reported.
FAFSA usually opens on Oct. 1 for applications and the new changes were supposed to roll out on Oct. 1, 2023. But the U.S. Department of Education had to ask for an extension, not opening the applications until Dec. 30. Even then, it wasn’t until Jan. 8 that the site was available 24/7, according to .
Nearly every day there have been new issues or glitches. Some continue to linger. For example, students can’t correct their FAFSA if something was filed incorrectly and likely won’t be able to for months.
What does this mean for Louisiana students, families and colleges?
Because the rollout was pushed back and the system has been crippled with issues, the timeline related to student financial aid has been disrupted.
“Everything’s been pushed back six months,” Director of Financial Aid Chrystal Woodward said. “We’ve already made a lot of changes, but it’s going to be continual. All of our systems, all of our processes, all of our policies, they have to be reviewed and rebuilt.”
The application didn’t open until about three months after it normally does. And there are about 30% fewer applicants nationwide compared to this time last year, said Ebony Holmes, the director of public information and advising for the The longer students wait, the more time it could add to processing their application.
Colleges and universities typically tell students and families in March what their financial aid packages will be, but most institutions haven’t received electronic versions of FAFSA from the Office of Federal Student Aid, Holmes said.
That’s compressing the timeline for students to make decisions about how much they’ll have to come out of pocket for continuing their education, she said. Once concern is if that shortened timeline will impact fall enrollment if students decide to sit out the semester until the know what’s available to them.
Thornburg said some institutions may have to work with students and families by pushing back enrollment deadlines or making accommodations while students wait for aid dispersal.
Woodward warned that because of the dramatic changes to the funding formula, students who have previously received a certain amount of aid based on their FAFSA may receive different amount for the 2024-2025 school year.
What can Louisiana students and families do in the meantime?
Anyone who thinks they’ll need additional funding to attend college should push through the issues and as soon as they can, Thornburg said.
SLCC is encouraging students to apply early with a after they apply and completing an online financial awareness project.
While they wait for their aid packages to be processed and returned, students can estimate how much aid they may receive and compare it to an institution’s cost of attendance to determine any gaps in awarded money versus out-of-pocket expenses, Holmes said.
A can help them estimate how much they could receive through FAFSA. Louisiana students who may be eligible for the state’s merit-based financial award program can use the to see possible award amounts.
Louisiana students who receive a Pell Grant and file a FAFSA may also be eligible for the state’s need-based Go Grant. LOSFA also has a for students to find aid not tied to FAFSA.
Thornburg encouraged students to send a FAFSA to every institution to which they’ve been admitted and are considering attending. He said some students may want to attend a college or university closer to home if their aid benefits are less than they expected or if they aren’t entirely sure about how much they’ll receive.
Each institution also has a financial aid office that’s willing and able to help. Woodward and Thornburg both said they’ve gone to high schools to work directly with counselors and families. And the staff in their offices are trained and available to meet and help current and incoming students.
At LOSFA, students can message, call, set up a virtual office hour or visit the FAFSA Lab in Ϳʷ¼.
“We want the residents of our state to get whatever they’re entitled to. We certainly don’t want them to leave any money on the table,” Holmes said. “We’re able to help if they feel like they’re stuck.”
Students also should monitor their emails for any updates or changes from the U.S. Department of Education. The institution they’ve sent a FAFSA to may also have questions and the sooner students reply, the faster issues can be resolved, Woodward said.
Are there any positives?
When all the issues are officially worked out, the changes could benefit most students.
It should be easier to fill out the application because it has fewer questions and some of them have been simplified. That simplification also helps secondary education institutions because they won’t have to build out as many scenarios, Woodward said. There’s a more secure option for sharing tax information.
And the formula changed to a “kinder and gentler calculation” for Pell Grant eligibility, meaning more Louisiana students should receive funding, Thornburg said.
“Despite the challenges, despite the delays, there are still some benefits to completing FAFSA,” Holmes said. “Stay encouraged.”
